To: Chief Executive Officers of all National Banks, Department and Division Heads, and all Examining Personnel

Description: Questions and Answers

The guidance attached to this bulletin continues to apply to federal savings associations.

On December 9, 1996, the Federal Financial Institutions Examination Council (FFIEC) adopted the revised Uniform Financial Institutions Rating System (UFIRS or CAMELS rating system). A final notice was published in the Federal Register on December 19, 1996 (61 FR 67021), a copy of which was attached to OCC Bulletin 97-1 dated January 3, 1997. The Office of the Comptroller of the Currency, the Office of Thrift Supervision, the Board of Governors of the Federal Reserve System, and the Federal Deposit Insurance Corporation (agencies) have implemented the revised rating system.

In response to questions raised by bankers and examiners regarding the revised rating system, the agencies have collectively developed interagency common answers. In addition, the OCC has developed its own agency-specific questions and answers as an addendum to the interagency document. The questions and answers, both interagency and agency-specific, are designed to help bankers and examiners understand certain aspects of the rating system for its consistent and uniform implementation. A copy of both sets of questions and answers are attached.

For further information, contact Bill Morris, national bank examiner, Office of the Chief National Bank Examiner (202) 649-6550.